Miftah Ismail, the Finance Minister, declared on Thursday that the present government would work to maintain current gasoline prices, adding that if rates were raised, no new taxes would be levied.
The minister strongly criticized former Prime Minister Imran Khan’s policies in a media interview in Karachi, claiming that the previous International Monetary Fund (IMF) deal mandated a price of Rs245 per liter of petrol.
Miftah warned that if the present price of petrol is not increased by May, the government will lose almost Rs102 billion every month. He went on to say that the government had never sold gasoline at a loss. He did assure the reporters, though, that the price of gasoline will be subsidized “as much as feasible.”
“Pakistan is losing Rs70 billion on diesel alone, whereas the government’s monthly expenditure is Rs45 billion,” the minister said, adding that the government will lose Rs102 billion on fuel alone, “equivalent to the cost of running two and a half governments, which cannot happen.”
The finance minister disclosed that the government has previously borrowed from the market but was unable to do so due to new SBP regulations.